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Booming e-commerce adds pressure on Malaysia postal services

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e-commerce

The booming of e-commerce has delighted consumers worldwide as their highly sought-after items can reach their doorsteps without going out. The same goes for e-commerce sellers in the rural areas, they can now sell their products globally.

According to investment bank JP Morgan Chase, Malaysia’s e-commerce market worth US$4 billion and rising continuously.

While consumers and sellers are delighted that their products are not limited by trade borders, we take for granted the welfare of postal personnel who have a hard time. While we shop happily with cheap delivery fees, postal services are hanging on hardly by continuously offering the cheapest service.

Growing Crisis due to e-commerce

Recently, video clips of workers of a courier company throwing parcels and shouting have raised concerns and dissatisfaction among netizens. This is because they vent their anger due to issues over wages and commission.

e-commerce

Meanwhile, some said that they should not channel their frustration to customers’ items, the root cause of such action should be addressed.

Normally, we will choose the courier that has the lowest delivery price when we shop online. But what we didn’t know is that the lower the delivery rate, the lower the commission for the delivery partners.

This has increased pressure on postal services to maintain their businesses. It would definitely not be conducive in the long run as companies will always be oppressed to reduce their rates. This left them with no choice by cutting back on employee benefits.

With no salary for months. delivery partners are working day and night just to survive with meager incomes. This has caused the unemployment rate to remain a major issue amid the pandemic.

The unemployment rate remains a concern

underemployment has grown since the beginning of the pandemic where it plagues the job market.

For instance, a pilot has to work as a postal delivery partner as his airline grounded many flights. He has to bear with RM3,000 or less a month compared with his previous salary of RM15,000.

According to the Department of Statistics Malaysia, the unemployment rate has reached 4.8% in December compared to 4.7% in November. While the unemployment rate continues to rise, people joining the gig economy will also increase.

Protect delivery partners

Amid the pandemic, delivery personnel has become a bridge to customers’ happiness in getting what they want, from everywhere.

It is high time for the government, sector, and stakeholders to provide a floor price for the delivery sector to ensure their wellbeing. For example, if a single delivery cost at least RM4, we can definitely contribute into making sure our items are delivered safely while the delivery partners obtain a decent commission.

 

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E-commerce boom leads to growing pressure on postal services

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